Augmenting the lot sizing order quantity when demand is probabilistic

European Journal of Operational Research

Volumn 188, Issue 3, 2008, Pages 705-722

  Pujawan, I Nyoman ^a   Silver, Edward A ^b  

^a DEPARTMENT OF ELECTRICAL ENGINEERING   (Indonesia)

^b UNIVERSITY OF CALGARY   (Canada)

Author keywords

Heuristics; Inventory control; Lot sizing; Production; Stochastic

Indexed keywords

HEURISTIC METHODS; PARAMETER ESTIMATION; RANDOM PROCESSES; SET THEORY;

LOT SIZING ORDER QUANTITY; STANDARD DEVIATION;

INVENTORY CONTROL;

EID: 38649093918     PISSN: 03772217     EISSN: None     Source Type: Journal    
DOI: 10.1016/j.ejor.2007.03.049     Document Type: Article

References (24)

1. Askin R.G. A procedure for production lot sizing with probabilistic dynamic demand. AIIE Transactions 13 2 (1981) 132-137
2. Baker K.R. Lot-sizing procedures and a standard data set: A reconciliation of the literature. Journal of Manufacturing and Operations Management 2 3 (1989) 199-221
3. Blackburn J., and Millen R. Heuristic lot-sizing performance in a rolling-schedule environment. Decision Sciences 11 (1980) 691-701
4. Bookbinder J.H., and Tan J.Y. Strategies for the probabilistic lot-sizing problem with service-level constraints. Management Science 34 9 (1988) 1096-1108
5. Chalmet L.G., de Bodt M., and van Wassenhove L. The effect of engineering changes and demand uncertainty on MRP lot sizing: A case study. International Journal of Production Research 23 2 (1985) 233-251
6. De Bodt M.A., and Van Wassenhove L.N. Cost increases due to demand uncertainty in MRP lot sizing. Decision Sciences 14 (1983) 345-362
7. De Bodt M.A., Van Wassenhove L.N., and Gelders L.F. Lot sizing and safety stock decisions in an MRP system with demand uncertainty. Engineering Costs and Production Economics 6 (1982) 67-75
8. Dellaert N.P., and Melo M.T. Approximate solutions for a stochastic lot-sizing problem with partial customer-order information. European Journal of Operational Research 150 (2003) 163-180
9. Ehrhardt R. The power approximation for computing (s, S) inventory policies. Management Science 25 8 (1979) 777-786
10. Gélinas R., Martel A., and Lefrançois P. SOS: A quantile estimation procedure for dynamic lot-sizing problems. Journal of the Operational Research Society 46 11 (1995) 1337-1351
11. Jönsson H., and Silver E.A. Modification of demand distributions on the basis of aggregate information. IIE Transactions 19 4 (1987) 379-384
12. Kadipasaoglu S., and Sridharan V. Alternative approaches for reducing schedule instability in multistage manufacturing under demand uncertainty. Journal of Operations Management 13 (1995) 193-211
13. Pujawan I.N. The effect of lot sizing rules on order variability. European Journal of Operational Research 159 (2004) 617-635
14. Silver E.A. Inventory control under a probabilistic, time-varying, demand pattern. AIIE Transactions 10 4 (1978) 371-379
15. Silver E.A., and Meal H.A. A heuristic for selecting lot size requirements for the case of a deterministic time-varying demand rate with discrete opportunities for replenishment. Production and Inventory Management Journal 14 2 (1973) 64-74
16. Silver E.A., and Miltenburg G.J. Two modifications of the Silver-Meal lot-sizing heuristic. INFOR 22 1 (1984) 56-69
17. Silver E.A., Pyke D.F., and Peterson R. Inventory Management and Production Planning and Scheduling. third ed. (1998), John Wiley, New York
18. Simpson N.C. Questioning the relative virtues of dynamic lot sizing rules. Computers & Operations Research 28 (2001) 899-914
19. Tarim S.A., and Kingsman B.G. The stochastic dynamic production/inventory lot-sizing problem with service-level constraints. International Journal of Production Economics 88 (2004) 105-119
20. Tsado A.K. A simple inventory replenishment policy for demand under uncertainty. Journal of the Operational Research Society 36 11 (1985) 1059-1068
21. Vargas V.A., and Metters R. Adapting lot-sizing techniques to stochastic demand through production scheduling policy. IEE Transactions 28 (1996) 141-148
22. Wemmerlov U. The behaviour of lot sizing procedures in the presence of forecast errors. Journal of Operations Management 8 1 (1989) 37-47
23. Wemmerlov U., and Whybark D.C. Lot-sizing under uncertainty in a rolling schedule environment. International Journal of Production Research 22 3 (1984) 467-484
24. Zhao X., Goodale J.C., and Lee T.S. Lot sizing rules and freezing the master production schedule in material requirements planning systems under demand uncertainty. International Journal of Production Research 33 8 (1995) 2241-2276